NRS 682A.514
Medium and lower grade investments.


1.

An insurer shall not acquire, directly or indirectly through an investment subsidiary, an investment in accordance with the provisions of NRS 682A.518, 682A.530 to 682A.538, inclusive, or 682A.550 to 682A.558, inclusive, or counterparty exposure in accordance with the provisions of NRS 682A.566 if, as a result of and after giving effect to the investment:

(a)

The aggregate amount of all medium and lower grade investments held by the insurer would exceed 20 percent of its admitted assets;

(b)

The aggregate amount of lower grade investments held by the insurer would exceed 10 percent of its admitted assets;

(c)

The aggregate amount of investments rated 5 or 6 by the SVO held by the insurer would exceed 5 percent of its admitted assets;

(d)

The aggregate amount of investments rated 6 by the SVO held by the insurer would exceed 1 percent of its admitted assets; or

(e)

The aggregate amount of medium and lower grade investments held by the insurer that receive as cash income less than the equivalent yield for United States Treasury issues with a comparative average life, would exceed 1 percent of its admitted assets.

2.

An insurer shall not acquire, directly or indirectly through an investment subsidiary, an investment in accordance with the provisions of NRS 682A.518, 682A.530 to 682A.538, inclusive, or 682A.550 to 682A.558, inclusive, or counterparty exposure in accordance with the provisions of NRS 682A.566 if, as a result of and after giving effect to the investment:

(a)

The aggregate amount of medium and lower grade investments issued, assumed, guaranteed, accepted or insured by any one person or, as to asset-backed securities by or evidencing an interest in a single asset or pool of assets, held by the insurer, would exceed 1 percent of its admitted assets; or

(b)

The aggregate amount of lower grade investments issued, assumed, guaranteed, accepted or insured by any one person or, as to asset-backed securities by or evidencing an interest in a single asset or pool of assets, held by the insurer, would exceed 0.5 percent of its admitted assets.

3.

If an insurer attains or exceeds the limit of any one rating category referred to in this section, the insurer must not be precluded from acquiring investments in other rating categories subject to the specific and multicategory limits applicable to those investments.

Source: Section 682A.514 — Medium and lower grade investments., https://www.­leg.­state.­nv.­us/NRS/NRS-682A.­html#NRS682ASec514.

682A.500
Applicability.
682A.502
Reserve requirements.
682A.504
Required reserve amount.
682A.506
Required reporting of reserves.
682A.508
Notification to Commissioner of insufficient reserves.
682A.510
Authority of Commissioner to remedy insufficient reserves.
682A.512
Diversification of investments.
682A.514
Medium and lower grade investments.
682A.516
Canadian investments.
682A.518
Rated credit instruments.
682A.520
Insurer investment pools.
682A.522
Acquisition of equity interests generally permissible.
682A.524
Limitation on aggregate amount of investments held in equity interests.
682A.526
Restriction on mortgage or real estate holdings acquired or held as equity interests.
682A.528
Short sale of equity investments.
682A.530
Tangible personal property under lease or other agreement.
682A.532
Valuation of personal property under lease.
682A.534
Limitation on aggregate amount of investments held in personal property under lease.
682A.536
Computation of investments held as personal property under lease for purposes of investment diversification requirements.
682A.538
Exempted personal property under lease.
682A.540
Mortgage loans.
682A.542
Income-producing real estate.
682A.544
Real estate for accommodation of business operations.
682A.546
Limitation on aggregate amount of investments held in mortgage loans and real estate.
682A.548
Securities lending, repurchase, reverse repurchase and dollar roll transactions.
682A.550
Foreign investments.
682A.552
Foreign currency exposure.
682A.554
Additional foreign investment and foreign currency allowance for insurers authorized to do business in foreign jurisdiction and holding foreign contracts.
682A.556
Additional foreign investment and foreign currency allowance for insurers not authorized to do business in foreign jurisdiction but holding foreign contracts.
682A.558
Calculation of foreign investments for purposes of determining compliance with limitations.
682A.560
Derivative transactions.
682A.562
Derivative transactions: Limitations on hedging transactions.
682A.564
Derivative transactions: Limitations on income generation transactions.
682A.566
Derivative transactions: Counterparty exposure.
682A.568
Commissioner may allow additional derivative transactions by regulation
682A.570
Limited exemption from certain restrictions on investments.
682A.572
Quantitative limitation on exempted investments.
Last Updated

Feb. 5, 2021

§ 682A.514’s source at nv​.us